CLA President Henry Robinson said: “We are pleased Mr Paterson has listened to the industry and moved 12 percent from Pillar One to Pillar Two rather than choosing the maximum figure allowable of 15 percent.
“He has struck a reasonable balance between supporting the environment and rural development and ensuring that farmers in England get a fair deal.”
The CLA President said it was right the Government is continuing to recognise - through investing in agri-environment schemes - the great contribution that farmers make to the environment.
Mr Robinson said he was greatly encouraged by the decision to continue to support the rural growth programme through the package of proposals.
He added: “However, it is important to remember there is a great deal of detail still to emerge.”